LONDON -- Hamas militants are preparing to release three more Israeli hostages on Saturday as part of the ceasefire agreement between the warring sides.

The three hostages who are expected to be released from captivity are U.S. national Sagui Dekel Chen, Yair Horn and Sasha Tropanov.

An Israeli official confirmed to ABC News that the Red Cross is currently on its way to the city of Khan Yunis in the southern Gaza Strip where their release is occurring on Saturday.

In exchange for Hamas releasing three more Israeli hostages, Israel is expected to free another 369 Palestinian prisoners on Saturday, most of whom were arrested in the Gaza Strip after the terror attack on Oct. 7, 2023.

This is a developing story. Please check back for updates.